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South Australia's energy supply and market

Electricity

In South Australia, both renewable and non-renewable sources are used to generate electricity. The generated electricity is sold through the National Electricity Market (managed by the independent Australian Energy Market Operator) to electricity retailers, who then sell it to households and businesses.

In times of high demand, the Murraylink (Riverland) and Heywood (Limestone Coast) electricity interconnectors can import electricity into South Australia from the eastern states.

The electricity is transported from power stations via transmission and distribution networks, where it is then sold to end users by retailers.

In remote areas not connected to the National Electricity Market, the South Australian government has contracted Cowell Electric Supply to maintain and operate the power stations and electricity distribution networks, and provide meter readings and retail services.

Gas

South Australia’s gas is sourced from the Cooper Basin, which is located in both South Australia and Queensland, from other parts of Queensland, and Victoria.

The majority (approximately 60%) of natural gas is used to generate electricity, and the rest is piped to households and businesses through the distribution network.

Wholesale gas is sold directly by gas producers to gas retailers under private contracts and through the Short Term Trading Market (managed by the independent Australian Energy Market Operator). The gas retailers then sell the gas to households and businesses.

Energy legislation

Sale and supply of electricity in South Australia is regulated through the National Energy Customer Framework (NECF), which is implemented under a number of national rules, acts and regulations. The NECF applies to all South Australian retail energy customers, and energy distributors and retailers operating in South Australia, except for those not connected to the national energy networks.